Why net worth beats income as a wealth metric
Two people earning $100k can have wildly different net worth — one saves 30% and invests, one leases a luxury car and rents up. After 10 years the gap is life-changing.
Liquid net worth (cash + investments − debts) is what you can actually spend in an emergency. Home equity is real wealth but takes months to unlock.
Track quarterly, not daily. Volatility on paper is noise; the trend line over years is signal.